Long Play Updates
Air Methods - AIRM - close: 29.89 change: +0.24 stop: 27.52
AIRM rallied to another new four-week high but failed to hold the breakout over $30.00. The trend is bullish but AIRM is potentially short-term overbought and due for a dip. A dip back toward broken resistance around $28.00 should not be unexpected. We do have a secondary, more aggressive target at $32.00. AIRM has already exceeded our target at $29.95.. We do not want to hold over the early August earnings report. FYI: AIRM has a high amount of short interest, almost 20% of the float according to the latest data. This raises the risk of another short squeeze, which would be great for the bulls.
Picked on July 16 at $27.52 /first target exceeded 29.95
Masimo Corp. - MASI - close: 36.17 chg: -0.28 stop: 34.75 *new*
Today's session was not a good sign for the bulls. Initially MASI bounced from its 10-dma again this morning but the stock rolled over around $36.80 and was heading lower into the closing bell. We are raising our stop loss to $34.75. We're not suggesting new positions at this time. MASI announced that it would report earnings on August 4th, after the closing bell. The P&F chart is positive with a $56 target. Our target is the $39.95 mark. More aggressive traders could aim for the highs near $42.00 but we do not want to hold over the earnings report.
Picked on July 09 at $35.65 *triggered
Pacer Intl. - PACR - close: 24.37 change: -0.07 stop: 21.45
PACR looked good today. The stock resisted any serious attempts at profit taking and held on to its gains from last week. Shares still look a little overbought so don't be surprised if there is a correction toward $23 again. Our target is the $25.85 mark. We do not want to hold over the early August earnings report. FYI: PACR also has a high amount of short interest around 19% of the float. We could be seeing a shorts squeeze.
Picked on July 16 at $22.71
Sanofi-Aventis - SNY - cls: 35.75 change: -0.35 stop: 34.95
The BTK biotech index was up thanks to the merger/acquisition news regarding DNA but that failed to influence shares of SNY. The stock drifted lower toward its 10-dma. Our strategy remains unchanged. We're suggesting readers buy SNY if it trades at $36.55 or higher, which would be a bullish breakout over its 100-dma. If triggered our target is the $39.50 mark. This is an aggressive target since we plan to exit ahead of the July 31st earnings report (unconfirmed at this time). An alternative entry point that more aggressive traders might want to consider would be a dip near $35.50.
Picked on July xx at $xx.xx <-- see TRIGGER
Ultra Financials - UYG - close: 20.42 change: +0.02 stop: 17.30
The rally in financials may be running out of steam. Make sure you're happy with your stop loss placement. It could be tested on a pull back. Look for the 10-dma near $18.40 and the $18.00 region to act as short-term support. Readers will want to seriously consider taking some money off the table right here! Don't be surprised if the UYG corrects back to $18.50-18.00. This is a very aggressive play. Our target is the $22.50 mark.
Picked on July 16 at $17.30
Short Play Updates
Genoptix - GXDX - close: 28.25 change: +0.19 stop: 30.75
Our time frame for this bearish play on GXDX has just been shortened. The company announced plans to report earnings on July 31st. It's our rule to avoid holding over an earnings report unless we have a really good reason to take that kind of risk. GXDX managed a meager bounce from its 100-dma today. We would still consider new shorts here. Our stop is a little wider than we'd like and this is an aggressive play because GXDX does not have a lot of volume, which makes it more susceptible to volatile movement. We have two targets. Our first target is $25.50. Our second target is $22.75.
Picked on July 20 at $28.06
Infosys - INFY - close: 37.48 change: -0.94 stop: 40.05
INFY continued to sink following last week's failed rally. The stock lost more than 2% today. We don't see any changes from our weekend comments. Our target is the $35.25-35.00 zone. FYI: The P&F chart is bearish with a $34 target.
Picked on July 20 at $38.42
Closed Long Plays
Garmin - GRMN - close: 46.59 chg: +1.55 stop: 43.85
Shares of GRMN rallied sharply midday after Dutch rival TomTom reported better than expected earnings. This lifted hopes that GRMN might do well and the stock ended with a 3.5% gain. Unfortunately, just before the rally shares of GRMN plunged to $43.71 and hit our stop loss at $43.85. We would be tempted to buy this bounce but would not hold over the earnings report on July 30th.
Picked on July 08 at $44.10 /stopped out 43.85
Closed Short Plays